- Ark Invest’s newly proposed Bitcoin ETF has been one of the latest addition to a growing list of applications for a crypto ETF in the United States.
- The investment management firm has partnered with 21Shares for a joint Bitcoin ETF filing with the US SEC.
- The trust underpinning the ETF would also hold BTC directly.
Ark Investment Management has joined a list of firms to file a Bitcoin-exchange traded fund (ETF) with the United States Securities & Exchange Commission (SEC).
Ark Invest jumps into Bitcoin ETF race
The New York-based investment management firm with over $50 billion in assets under management has partnered with European exchange-traded product issuer 21Shares to file for a Bitcoin ETF – the Ark21Shares ETF.
According to the SEC filing, the Bitcoin ETF would be listed on the Chicago Board Options Exchange’s (Cboe) BZX Exchange. Cboe has filed multiple filings to launch other similar funds, including VanEck and WisdomTree’s BTC ETF.
The ETF would consist of holding Bitcoin directly, as well as tracking the S&P BTC index – a tool developed by the S&P Dow Jones Indices. The index relies on data from Binance, Bitfinex, Bittrex, Bitstamp, Coinbase Pro, Gemini and a few other exchanges to reach a unified price based on “a combination of qualitative and quantitative metrics.”
The founder and CEO of Ark Investment Management, Cathie Wood, is also a board member of 21Shares, the fourth-largest institutional crypto product issuer by assets under management with over $1 billion.
21Shares is the sponsor of the trust, while Ark Invest will support marketing the ETF shares, according to the filing.
Bank of New York Mellon will act as an administrator and transfer agent for the newly proposed ETF, while Coinbase is expected to custody the Bitcoin directly purchased.
Bitcoin ETF applications have witnessed a wave of extensions as the SEC requires more time to examine the proposals before making a decision. The newly proposed ETF will see its clock start on a decision when Cboe files the companion 19b-4 for the ARK 21Shares offering.
Recently, the SEC asked the public to weigh in on the VanEck Bitcoin ETF proposal. The securities regulator would like interested parties to give feedback on the potential risks the new financial product would pose to the market.
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended Content
Editors’ Picks
Polygon joins forces with WSPN to expand stablecoin adoption
WSPN, a stablecoin infrastructure company based in Singapore, has teamed up with Polygon Labs to make its stablecoin, WUSD, more useful in payment and decentralized finance.
Coinbase envisages listing of more meme coins amid regulatory optimism
Donald Trump's expected return to the White House creates excitement in the cryptocurrency sector, especially at Coinbase, the largest US-based crypto exchange. The platform is optimistic that the new administration will focus on regulatory clarity, which could lead to more token listings, including popular meme coins.
Cardano's ADA leaps to 2.5-year high of 90 cents as whale holdings exceed $12B
As Bitcoin (BTC) gets closer to the $100,000 mark for the first time — it crossed $99,000 earlier Friday — capital is rotating into alternative cryptocurrencies, creating a buzz in the broader crypto market.
Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange
Shiba Inu trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards.
Bitcoin: Rally expected to continue as BTC nears $100K
Bitcoin (BTC) reached a new all-time high of $99,419, just inches away from the $100K milestone and has rallied over 9% so far this week. This bullish momentum was supported by the rising Bitcoin spot Exchange Traded Funds (ETF), which accounted for over $2.8 billion inflow until Thursday. BlackRock and Grayscale’s recent launch of the Bitcoin ETF options also fueled the rally this week.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.